>> shannon: bickering outside. what part incite the debt ceiling meeting? sarah palin is confident she can beat obama next year if she tries. and trial of one of baseball's all-time greats. live from the studio in washington, this is "special report." good evening. i'm shannon bream in for bret baier. the daily ritual known as the debt ceiling meeting just ended at the white house. amid increasingly partisan environment, the gulf between the two sides seems to be growing. white house correspondent mike emanuel is live tonight with an update. good evening, mike. >> reporter: good evening. president obama set a deadline of tomorrow for the group to figure out where things stand and what type of deal is possible. the tone is stuff as frustration building to set the stage for another meeting. >> i do not expect a hall lieu la moment. >> reporter: carney set

modest production. >> not reduced to tax collector for obama economy. either you are with his vision of continuing to live beyond the means or you're with us those of us who believes washington needs strong medicine. >> reporter: he told reporters that wednesday's meeting abruptly ended when the president became agitated and walked out. democratic sources suggested that president mr. obama said what he needed to say and left. today, house leaders downplayed the departure. >> i think it was fine. but i think he decided that the meeting was over and got up and left. >> i just don't understand what the problem is if the president of the united states has had a meeting for over two hours stands up and says, "see you tomorrow." >> reporter: both sides in the course of the debt discussions sounded like they are dealing with children across the table. >> pull off the band aid. eat our peas. >> not kicking the can down the road. >> finish their homework. >> he shouldn't even be at the

table. >> i'm very disappointed in the childish behavior. >> i don't want to draw lines in the sand. >> taken on a wild goose chase. >> everybody in that room is a grown-up. >> but the treasury secretary issued a very adult warning to lawmakers. >> we have no way to give congress more time to solve the problem. >> with time running out, there is some thought a backup plan from senate republican leader mcconnell may be the way to avoid default. a republican senator suggested it will prevail if it suits both parti' political imperative for the election. >> the game concocted to move past this debt creel something that democrats can basically say to their base, well, we kept spending in place. and the republicans can campaign on the fact that spending is still a problem. >> reporter: if something like mcconnell plan is the only option, white house officials say the president is willing to own it if others will not. trying to look like the only

grownup in the room. shannon? >> shannon: i to ask about the backup plan. we hear critics of it and those who support it to say if we don't have anything better it's better than an all-out default. is that still on the table? >> conventionm wisdom is you need a deal between window of tomorrow and next friday. because of the procedural reasons with how long it takes to write the legislation and get passed. so we're getting into crunchtime. whether it's the mcconnell plan the feeling is it needs to solidify soon. >> shannon: mike emanuel live at the white house. thank you, mike in the debt debate we have seen the leaders trying to lead while rank and file members haven't stayed in the background. >> reporter: tea party freshman, joe walsh of illinois, video with strong words for the president. >> president obama quit lying.

>> reporter: walsh is angry that president obama said that social security checks may not go out. if there is not a debt limit deal by august 2. he says it's not true. a message echoed by senate freshmen who sent a letter today to the president. >> i think the president should apologize for politicizing social security, for threatening not to send out checks. >> g.o.p. and senate freshmen may be the new kids on the block but they are not slinking violets. many were elected by vocal, passionate tea party members and see themselves on a mission to rein in big government spending and prevent tax increases. >> the majority of the house has to approve spending and that's tremendous leverage. we should use it. >> a political analyst says it has an impact on how far g.o.p. speaker john boehner can go in debt negotiation. >> the existence of the freshmen linked creditability to john boehner when he says there are not enough votes for

tax increase. >> reporter: president obama is also feeling the pressure from the left flank saying that social security and medicare may need modification to sustain them for the future generation. >> if there is a reasonable deal to be had on it, one i'm willing to pursue. >> that got a strong pushback from nancy pelosi and other liberals. >> today, the democratic women of congress have come together to send a clear message. we must protect medicare and social security. we will not support cuts. >> reporter: if there are cuts to the program in a final deal, it will be a tough sell to the president with the liberal base, which sees itself as cardigan of the entitlement. molly henneberg, fox news. >> shannon: the stocks were off. dow lost 54-1/2. the s&p 500 dropped 9. nasdaq gave back 34. applications -- applications for unemployment dropped by

22,000 to lowest level in three months. interest rate for 30-year home loans fell to 4.51 this week down from 4.6. federal reserve chairman ben bernanke clarified the statement that another stimulus might be needed to boost economy. bernanke said today the fed is not ready to pump more cash in the economy. that sent oil prices plunging 2%. august futures finished the day off $2.36 to finish at $95.69 per barrel. ♪ >> shannon: in america's news headquarters speculation whether sarah palin will be part of the 2012 presidential campaign. carl cameron says that palin isn't saying but seems confident of the potential results. >> reporter: she says she can win but does not say if she will try. >> i did say i believe i could win but i went on to say it doesn't have to be me. i'm not so egotistical to

believe it can only be me to turn the country around. >> reporter: so far, mitt romney, michele bachmann, rick perry and rest fallen short of the leadership that palin thinks the country needs. the latest gallup poll of republicans shows palin strongly favored. more than herman cain, five more than bachmann and seven more than romney. >> i am still thinking one about offering myself up in the name of service. >> reporter: since resigning as governor of alaska, palin has done reality tv shows, fox news analysis, documentaries, books, speeches, conventions and movie debuts in theaters tomorrow. if she can transform the buzz to the ground. >> august and september you have to lay out a plan if you will be one to throw your hat

in the ring. that is the time frame. >> reporter: there are two other contenders weighing decision. rick perry could wait until august but he is already more organized than palin. at the texas state house in austin the insider consensus is just that perry will run. he has been calling around the country to big doe fors and power brokers, grassroot organizers and has had expert policy briefers visit. >> i'm here to help the party. >> reporter: then there is rudy giuliani who in new hampshire contradicted his aides that said he was within days of an attention who said he is not seriously testing the waters yet but yearns for more public service and feels incomplete without it. he acknowledged a lousy campaign in 2008 and said if he runs this time it will be different. so far he has done less than last time. giuliani will not participate in the next g.o.p. debate four weeks from tonight, hosted by fox news and taking place in ames, iowa. the debate will likely influence the ames straw poll

that takes place two days later. in recent years has made and broken capped dassy. the ames straw poll is 30 days from now. >> shannon: clock is ticking. >> tick, tick, tick. loud. >> shannon: thank you. ron paul is launching his first television ad of the presidential campaign and it emphasize his opposition to raise debt ceiling. it will air friday in iowa and new hampshire. his six-figure purchase of advertising time is the biggest tv buy of the campaign so far. we hear a lot about the presidential candidate courting state with large number of votes but tonight why colorado, relatively few, while new york and california are part of a candidate's strategy. alicia acuna has the story from denver. >> reporter: colorado nine electoral volts will not only be in play in the 2012 presidential election, by all accounts they will be crucial. >> if you can't win in

particular the unaffiliated voter you can't carry host of states in the country. >> reporter: president obama took colorado by nine points in 2008. but this state makes no promises. >> we. we for george bush in 2000 and 2004. voted for clinton in 'ed 92. for obama the last go-around. >> reporter: the pendulum direction is how the electorate swings. >> a third republican and third democratic and third unregistered voters. it could go either way. [ applause ] >> reporter: speculation is colorado senator michael bennett 2010 election victory will be template in the fight for the white house. he was one of the few democrats to side step the republican wave. >> he managed to get enough to win it. the race was mean, close and expensive. >> it focused on the female voter and young voter and

latino voter. the president will follow the same suit in colorado. >> republicans are reaching out to hispanic and women voters in ways we didn't do as well in connection with senate race. >> reporter: david axelrod says the president must hold colorado, new mexico as well to win re-election. at a colorado g.o.p. fundraising event in june, the republican strategist karl rove said in 2012, as goes colorado, so goes the nation. in denver, alicia acuna, fox news. >> shannon: minnesota democratic governor mark day top is offering to end a two-week government shutdown by accepting a republican plan to increase revenues. they want to raise $1.5 billion to delay the state aid checks to school district. they would drop assistance for the higher taxes for the top income earners. the sides met to discuss the proposal. some questions about one of president obama's most moving personal stories later in the grapevine.

straight ahead, the prosecution in the roger clemens trial strikes out. luck? i don't trade on luck. i trade on fundamentals. analysis. information. i trade on tradearchitect. this is web-based trading, re-visualized. streaming, real-time quotes. earnings analysis. probability analysis. that's what opportunity looks like. it's all visual. intuitive. and its available free, wherever the web is. this is how trade strategies are built. tradearchitect. only from td ameritrade. welcome to better. try new tradearchitect and trade commission free for 60 days.

>> shannon: a pennsylvania man indicted by a federal grand jury for allegedly using the internet to promote violence against americans. begali said to be moderate of popular internationally known islamist extremist web forum and says he encouraged jihaddist to harm or kill americans and posted bomb-making instructions online. there is anger today in mumbai, india, over the government inability to protect the citizens against terror attacks. 17 people died in triple bombing. yade overhauled the security forces following the 2008 terror attacks that killed 166 people. over three days. the pentagon says it suffered one of largest ever losses of sensitive data in march because of a cyber attack from unnamed government. outgoing deputy defense

secretary william lynn said 24,000 files were taken from a cuter network in single intrusion and said the pentagon has a good idea who did it but would not give details. to paraphrase yogi berra it got late early. the prosecutors barely begun their case when the judge called them out. national correspondent steve centanni explains. >> reporter: it's roger clemens 1, justice department 0, in a fierce legal contest in allegation of perjury against one of baseball all-time great. u.s. district judge walton declared a mistrial on day two of testimony in clemens' trial on charges of lying to congress. clemens' attorney rusty hardin was clearly pleased. he had legal trouble in 2008 when they told the house committee. >> i have never taken steroids or hgh. >> reporter: bus his trainer brian mcnamee told a different story. former republican congressman davis on the committee told fox news today, "at the hearing we determined that

they, clemens and his trainer brian mcnamee both couldn't be telling the truth. we had corroborating evidence on mcnamee's testimony." in court today, the judge walton was angered when the prosecutors played a videotape from the hearing that showed congressman elijah cummings reading the words of laura petraeuspettite the wife of forr teammate and friend andy pettitte. >> let me read what the wife said in her affidavit. andy told me he had a conversation with roger clemens where roger admitted to him using human growth hormones. >> reporter: judge walton was furious because he specifically excluded any mention of laura pettitte since she did not talk directly with clemens. walton immediately told prosecutors to stop the tape but thought the damage was already done and said, "i don't see how i can unring the bell." when he later dismissed the jury, the judge said the ability of mr. clemens with the jury to get a fair trial would be difficult if not

impossible. now the defense could try to block a retrial arguing double jeopardy. >> they'll have to argue that what the prosecutor did today was so egregious, announce an intentionm bad faith misconduct and for that reason it would be improper to try clemens again. >> reporter: hearing for the next step is scheduled for september 2. they predict the government will forge ahead and seek a retrial no comment today from attorneys in the case or members of congress. in washington, steve centanni, fox news. >> shannon: california democratic governor jerry brown siped a bill to make his state the first in the nation to require lessons about gay history be taught in public schools. critics say it amounts to sexual brainwashing. still ahead, the white house versus fox news. straight ahead, more trouble for the murdock media emp

>> shannon: this is a fox news alert. senate minority leader mitch mcconnell says there probably will not be a debt ceiling negotiation meeting with president obama on friday. mcconnell says lawmakers will continue to discuss the way forward on the debt limit after taking a little bit of time off. the two sides met this afternoon for about an hour-and-a-half. mcconnell says the session did not include discussion of his so-called backup plan to give president the authority to increase borrowing limit under certain conditions. the ceo of the company that owns fox news will appear before british lawmakers to answer questions about some of the newspapers in the u.k. meanwhile, the f.b.i. has begun an inquiry of whether the employees of the news corp corporation tried to hack in phones of 9/11 victims. senior correspondent amy kellogg has details from london. >> reporter: at the encouragement of republican congressman peter king, the f.b.i. is now investigating whether the british phone

hacking scandal involving news corps tabloid spread to the states, trying to intercept phone call of 9/11 victims in london, rupert and james murdock now agreed to show up and answer question before a televised select committee with the deputy rebecca brooks after mounting public pressure. >> my message for rebecca brooks is do the decent thing. you can't hide from this level of public anguish and anger and the interest. >> reporter: in the first interview since the story broke, rupert murdock told the "wall street journal" he wanted to address, "some of the things said in parliament, some of which are total lies. we think it's important to absolutely establish our integrity in the eyes of the public." it won't be the first time brooks has gone before the committee. back in 2003 she admitted paying cops for information. >> we have paid the police for information in the past. >> reporter: also in this

picture, former news of the world editor and later prime minister cameron press secretary andy colson who was arrested last week. and former executive editor neil wallace arrested today. brooks was editor of "news of the world "when it allegedly hacked in cell phone of a school girl who had been abducted and later murdered in 2002. last sunday "news of the world" was closed down after the reputation was said to have become toxic. >> thank you very much. >> reporter: brooks kept her job as news international chief executive. some politicians called for brooks' resignation. murdocks have stood firmly by her in his "wall street journal" interview, rupert murdock defended his company's handling of the crisis. but said it would establish an independent committee to investigate every charge of improper conduct. in london, amy kellogg, fox news. >> shannon: the arab league reportedly endorsed a plan by palestinians to ask for independent statehood recognition from the united nations. such a vote by the general

assembly would be symbolic. full membership would have to be approved by the security council. the u.s. promised a veto. turkey will seek support for libyan peace group. they hosted a cease-fire plan in april. spokesman says the new proposal is built on that one. meanwhile, french authorities say they have overtures from the libyan seeking sanctuary for muammar gaddafi. a u.n. report says the number of afghan civilians kill in war-related violence was up 15% in the first half of this year. the report says 1562 civilians died and 80% of the deaths were caused by insurgents. a driver's license -- [ inaudible ] that could come with parmesan? often told story by president obama might be more fiction than fact. the grapevine is

>> shannon: now some fresh pickings from the political grapevine. president obama's often told tale of his mother's fight with the insurance company while dying of cancer is challenged in a new book. mr. obama frequentenly said in the 2008 campaign that his mother faced nagging questions whether the illness was a preexisting condition that disqualified her from coverage. the implication was this pertained to health insurance. but the "new york times" reports the book says that the dispute concerned a disability

insurance policy and that her actual health insurer reimbursed most of her medical expenses without argument. the white house is not challenging the account. it told "the times" it had not reviewed the correspondent but said mr. obama's broader point remains relevant. united states of america might be technically only 49 states. "time" reports 82-year-old man found a constitutional error in 1995 that questions whether north dakota ever fit requirements for statehood. he has been working ever since to fix it. the problem lies in the state's constitution's failure to require the governor and other top officials to table an oath of office. senate senator introduced a bill to fix the problem. finally, there is a pasta strainer, does it count as religious head gear? a self-confessed atheist in austria has won the right to be wearing it in his driver's license photo, called

pastafariasm, tongue in cheek take that is church of the spaghetti monster. it's never good when people who bring you the news become part of news. but watchdog group shows fox news is target of hostility from the obama white house. jim angle has the details. >> reporter: in the first few months the obama administration sought to exclude fox news from interview with feinberg as pay czar. the white house says it's a mistake but judicial watch has e-mails between officials suggesting otherwise. >> we filed open record freedom of information request in october of 2009. we have didn't get response from the obama administration until last week which is well over 18 months later. >> at the time, the officials flatly denied there was any intention to include fox but after first offering interviews to three biggest networks, officials decided to expand the access to include cnn and possibly other cable networks but not fox.

the director of broadcast media of the white house shown on the right wrote to >> reporter: a decision he has not applied to msnbc or cnn. a media legal analyst argued

the administration sought to separate fox from the other networks. >> you can all interview mr. feinberg, the pay czar, but fox news, we don't like what you have been doing in your news programming. and in your opinion programming. you can't come along. >> because the network pool was involved and fox is a member, the other networks questioned the move. >> the white house specifically sought to exclude fox. they were ultimately unsuccessful because of the intervention reportedly of other media. but they didn't want to let fox in. >> today, white house spokesman jay carney tried to put it all in the past. >> that was then, and, you know, we obviously deal with fox news regularly. call you regularly and we give interviews to fox news, including bill o'reilly. >> fox did get the interview with feinberg after all. the senior vice president for news for fox today said on and off-air relations with the administration has come a long way since then and if the unfortunate ens dept got things -- incident got things

on a better track, then it served its purpose in washington, jim angle, fox news. >> former first lady betty ford will be laid to rest shortly in grand rapids, michigan. this morning a steady stream filed past her cassette at the museum named for her late husband gerald ford, the nation's 38th president. mrs. ford died friday at age 93. gerald ford passed away in 2006. we'll go over today and talk about the debt ceiling when the fox all-stars join us right after the break.

too many people in there trying to negotiate what is a very difficult, could be and will be a very difficult agreement. and there is just too many people in there, pouring cold water on virtually every idea that is thrown on the table. >> we looked at all the available options. we have no way to give congress more time to solve this problem. we're running out of time. >> shannon: all right. you heard there from the house

speaker john boehner. tonight, the full interview is "on the record" with greta van susteren at 10:00 p.m. eastern and also treasury secretary tim geithner talking about negotiation and time running out. talk about it with the panel. steve hayes senior writer for "weekly standard." charles lane, editorial writer for "washington post." syndicated columnist charle krauthammer. welcome. good to see you all. just to let you know as you are coming in and sitting down we get across the wires that minnesota, where the government has been shut down, they reached some deal. concession from the governor there, mark dayton worked out a deal to raise revenues so it look like that's over. if they do it in minnesota can we do it here? >> no. >> shannon: simple answer. >> minnesotaens are nice. here it's different. atmosphere is hot and heavy. an interesting sort of personal item was when the president walked out yesterday. i think it did a little bit to put a dent in tim imagine he has always had.

the no drama obama. he is feeling heat. it's not easy to determine which side has the most at stake but obama has a lot at stake. what is interesting here, boehner is talking about the plethora of the plans. all over the place, really nobody is operated this to where it's all headed. the mcconnell plan that was excore rated for a couple of days. house republicans are upset with it. it may be the escape hatch that everybody needs. because it will allow the issue essentially to be punted and decided in november next year. if it is used it's only because other ideas fail. i an idea of my own, for house republicans to pass relatively short half a trillion dollars that we speak of, half a trillion is relatively small, debt ceiling increase with commensurate cut to get us to end of the year to extend

negotiations. that doesn't have a lot of chance to pass so in the end we'll probably have mcconnell with stuff added on. >> shannon: short-term deal is something that the president made clear he is not interested in. it's a point of friction when him and majority leader can't that caused whether it's walk-out or whether it's spill over is up for debate. but the mcconnell plan, if it's there for safety net. we talked with mike emanuel earlier from the white house. do they have a chance to come up with something else? serve sniffing around saying it's better than default so we might go with it. >> in a way it reduces their incentive to come to a deal in effect, mcconnell's premise is we can't do a deal anyway so we may start about talk about a safety hatch there is one way i think that it might promote a deal and that is that the house republicans sort of back ventures, it may be the one thing they hate even more than

smaller deal of the kind charles is describing. so that is why you are starting to hear a little bit more talk now about maybe a $1.7 trillion thing based on cuts that were supposedly agreed upon in talks before between biden and can' cantor ad others. perhaps maybe that was the way where mcconnell stimulated progress. >> i think this is more clear than everybody else apparently. i think when mitch mcconnell made the announcement, it was the beginning of the end of the process. he gave the white house in effect what the white house wants, gave him everything that the white house wants. escape, an escape hatch or backup plan, what have you but they didn't get the tax hikes. the white house gets basically a clean debt limit and they don't get anything, they don't get the kind of feedback they get. they don't get to worry about the spending cuts, real spending cuts as i think the senator mcconnell made clear yesterday. what you had today is john boehner saying in his press conference that he was open to

the mcconnell plan. so off plan announced by, conceived and announced by mcconnell that harry reid said he is open to. and nancy pelosi said bravo, senator mcconnell. john boehner said he is open to it if they don't come up with another deal. it gives them most of what the white house wants. i don't see anything other than the deal but not a good deal for conservatives. >> shannon: you have tea party faction, on the hill and at home in grassroots that are saying listen if nancy pelosi is, you know, supportive of this plan, we're quite sure we won't like it. >> well, i don't either. i don't think anybody does. i'd prefer a plan with real cuts. entitlement cut and all of that, i'd like to see a man on the moon again but if you are a party, conservative party and you control one house of congress, it didn't enough. you have can't roven the government. you can stop but you can't enforce. that is the lesson from '96

when republicans had two houses of congress. you try to force the issue. in the end it will put us in default and neither party does. so in a democracy you have to punt. people decide in november how an issue of this magnitude ought to be decided. >> it's not in the end. if this were offered july 30, i'd gree. this is not the end. if this was game of chick and driving toward each other, he steered it this way too early. house republicans were getting set to put forward some more aggressive plan. talking about it. >> let them do it. >> it's too late. what incentive does the white house have now to accept a plan that is more aggressive than the mcconnell plan? the bipartisan mcconnell plan. >> if the house republicans offer a plan for half a trillion, which is all cuts -- let's assume it passes. i'm say wag would be pref

reasonable result? if it passes in the house, if the republicans get their about together and agree it's a good idea. obama has no argument against cut of that size. debt limit of that size. he says i want something, i'll veto something short. are you going to put that and make an argument on that and put us in default over what? what is the principle? >> you're right. >> the only reason obama wants a longer deal is so that it gets him election. it's wrong politics and self-interest. he doesn't have an argument so you force him on this issue. see how he reacts. >> shannon: chuck? >> i was going to say that strategy charles just outlined has been out there the whole time. there was a column about it in our paper. wife haven't they done anything about it? it tells me that a big part of the mess is the republican party on capitol hill right now is hopelessly splintered. there is individual rank. and jim demint or mitch mcconnell don't trust or like each other, same for

boehner and cantor. >> the house republicans don't want to vote for it once. they don't want to vote for it multiple times. i think it's -- we are unlikely to see that. >> shannon: if we go with the mcconnell plan now they're putting it all on the white house and president own hikes if they happen. >> but they won't really because it was a plan conceived by the leader of the republicans in the senate and has to pass with republican votes. so maybe down the line when mostly democrats vote for the actual debt ceiling increases, they will get some of the accountability. but it's a plan hatched by republicans. >> shannon: we have to leave it there. charles says minnesota yes, washington no. we'll be on standby. all right. again, don't forget house speaker john boehner guess on the record with greta tonight. 10:00 p.m. eastern. next up, a report that says the white house has a bias against fox news do you think we've been treated unfairly? vote in our online poll on the home page at foxnews.com/specialreport. all the results right after this break.

it is well known at the time there was a dispute between fox news and the coverage and the white house and the feelings about the coverage. that was then. and you know, we obviously deal with fox news regularly. call you regularly. we give interview to fox news, including to bill o'reilly. beyond that, i don't know much about it. >> there is widespread hos stillty to fox news, as -- hostility to fox news, as evidenced by a press official wanted to put dead fish in covy of fox news at the white house and another e-mail calling bret baier a lunatic. there are a lot of things but i don't think bret is so far out to be a lunatic. >> shannon: he is not here, so we will couch for him. he is definitely not -- vouch for him. he is definitely not. that is jay carney responding

to the new report from judicial watch saying they made a request. you heard the response that they say things got better. before the break we asked you has the obama administration treated fox news channel unfairly? 90% of you said yes. 10% said no. chuck, i'll start with you. this is a white house they made a decision regarding access to interviewing a senior treasury official. it's their decision. ethically, though, how should they go about who is in and who is out? >> this goes back to 2009, the first year the administration, david axelrod attempting to get the rest of the, quote/unquote mainstream media to osstra size fox news -- ostratize fox news. it failed badly. they back pedaled off of that. carney is right, in a way this is old news. a couple of e-mails, frankly i'd like to see the internal e-mails at pox about the obama administration. maybe a few things would turn up that wouldn't look so great. you know, they are very -- any

kind of press coverage that they don't like gets under their skin. i can tell you that from my experience at "the post." this is not that big of a deal as they describe it. someone calls bret a lunatic, which is of course not true, in an e-mail. so i pronounce nonissue. >> shannon: for a lot of people the problem is the white house denied trying to ice fox out of the initial interview and these e-mails seem to show something different. >> this is not complicated. they were caught in a lie. the white house was lying about this stuff no reason to dress it up. that is what happened. they said it didn't happen and it happened. so it's a lie. i'm not terribly concerned that someone sent joking e-mail about a dead fish in cubby. that happens all the time. don't make federal case of that stuff. but on the merit of the issue the white house put out one line and the opposite was the truth. i think that is what we learn from the story. >> shannon: charles, you seen aptsy over here. >> response to what chuck

said. i assure you that among internal e-mail i got from fox i never seen a dead fish. lunacy and bret, i speak as a psychiatrist and sadie fintively he is not -- i'm not ruling out everything but lunatic he is not. >> shannon: he's not. >> off flip side. for someone high up in the white house press office to write or think, think or write of bret baier, who i think is the most level-headed sort of together to use an old adjective, man i've ever met. as a lunatic, that tells you a bit about the psychology of the people in the white house. i won't use the word deranged but how upset they might be about fox news. the reason is liberals, particularly liberals in government are very upset at that fox came along and broke the liberal monopoly on the news. not only shattered the monopoly, but did it so well that it has to be accepted and

that is what the administration attempted to do early on is us a tra size it, but -- ostracize it, but given the size of the audience and partisan here that is excellence on this show, on news, it can't. the other news media admitted that. but it does show how much fox gets under their skin that new administration would go to the length to have a strategy against the network. >> shannon: in the wake of that, i want to point to the response that we had from the senior news vice president -- vice president of news, michael clamenty and something that jim angle mentioned. on and off the air relations with the administration have come a long way since then. if that unfortunate incident helped to get things on a better track, then it served its purpose. chuck, do you think we can say, you know, there is a silver lining? >> i think we have just found a statesman to help facilitate the debt limit. >> shannon: debt negotiations. michael clemente. >> it shows you can rise above and reach out to the other side and make peace.

>> demonstrate how far it's gone. if you listen carefully to president's news conference the other day when describing the optimal balance and optical solution to debt crisis he said he wanted it fair and balanced. >> i did notice he said that. charles, were you keeping track? >> that was a triumph of fox news. liberals are using our language. we should keep it up to see if he ends up supporting the republicans in the house on the budget. >> shannon: well, it's also important to remember we had a couple of our colleagues who were hurt, etacked in egypt, hospitalized and also held at one point. and you know, the white house was very instrumental, robert gibbs at the time over there, trying to help fox and get them out of there. thank god they were safe and sound after that. certainly, it looks like we've mended some fences. >> in the end, we are all americans. put that way. >> shannon: yes, we are. >> patriotic americans. >> shannon: where do we go from here? do you think jay carney answering it today got under his skin? is it something he wants to see finished? >> it didn't look like he was

terribly annoyed about it. he's familiar with what went on back then that he is looking forward to a different era. this was the result of, i think there was a different era in 2009 at the white house. robert gibbs, face it a little more of a conflictual press secretary than jay is. at least publicly. his response was classy and forward looking. you know, set standard in that way. >> jay, himself, is a journalist. he has seen bad idea ostracism is. >> shannon: we are getting word that president will talk to reporters on the debt ceiling thing. he will take questions. he said a couple weeks back he'd hold a lot of the availabilitys, whether we want to call it news conference. we might do another panel on that. gentlemen, thank you very much. that's it for panel. stay tuned. big developments today in the roger clemens perjury trial. see what happens when a so-called expert is called to weigh hi, anne. how are you doing? hi, evelyn.

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fried ants are delicious. really. that was a confidence builder. my students actually ended up teaching me. so i learned this dance, let me show you this dance. (foreign language) the classroom was more of a class-tent. you think managing a sales team is tough... try working with five different villages. my alarm clock was a rooster. beans for breakfast, beans for lunch, beans for dinner. we ate a lot of beans. i learned a third language. my seatmate on the bus was a goat. always include the village elders, always. my morning commute was by canoe. after two months i was ready to quit, but after two years, i didn't want to leave. i didn't know i had it in me. turn two years of service into a lifetime of experience. to all the peace corps volunteers past, present, and future, thank you for your service to your country and the world.

>> shannon: finally tonight, roger clemens legal team is celebrating a mistrial today as journalists we often like to turn to experts for analysis but it doesn't always go as planned. >> joining us from our new york studio is ben walker the baseball editor for the associated press. ben, i know that you have been covering roger clemens' career for the best part of the last 23 years. just we mind us how big a name is he in the sport of baseball. [silence] >> i beg your pardon? i'm not sure if ben can hear us. can you hear me in new york? >> you know, it's even a worse situation than that. because i am not ben walker. and i know nothing about baseball. i do, however, know a lot -- >> i beg your pardon. we have the wrong guest. we will move on to the william's world cup in germany. >> shannon: that's actually happened to me before. that's